At first, Tyco's Tickle Me Elmo seemed like an ordinary toy.
But shortly after its release, the giggling plush Muppet from
Sesame Street became immensely popular, selling out at toy
stores faster than Bert could get annoyed with Ernie. When
Christmas-season laws of supply and demand caused prices to
skyrocket into the hundreds of dollars for each toy, those who had
Tickle Me Elmo dolls to sell considered themselves lucky. Those who
didn't, wished they had.

Few things skyrocket in price like the Tickle Me Elmo dolls. But
interest in antiques and collectibles is high. If you've caught
collecting fever, whether for primitive furniture, decorative
items, jewelry or even modern fast-food kids' meal toys,
selling collectibles or antiques just may be your ticket to
business ownership.

Although there are numerous ways to sell antiques and
collectibles, one of the most popular is through an antique mall or
co-op.

Johanna S. Billings is a freelance writer and avid glass
collector who specializes in covering the antiques and collectibles
trade.

How an Antique Mall Works

Selling through an antique mall or co-op is a type of
consignment. You place your items in the mall, which sells the
items, paying you only after a customer buys something.

With most consignment deals, the store owner takes from 25 to 50
percent of the selling price. With an antique mall, however, you
rent a booth or case and pay a commission (usually between three
and 10 percent of your gross sales). The cost of case and booth
rentals vary by mall, with most malls charging between $50 and $200
per month. Some will require a lease, though many allow you to rent
from month to month.

By selling this way, independent antique dealers reap the
benefits of their knowledge and experience without taking big
risks. Your cash outlay is relatively small, at least in comparison
to the costs of opening your own private shop.

Malls also provide a full-time staff to run the shop, leaving
you free to hunt for more merchandise or keep your regular job.
Another type of mall, the co-op, requires each participating dealer
to work several days per month in addition to paying rent. If you
are employed, be sure time slots are available to suit your
schedule.

Choosing a Mall

Cost and staffing are but two things to consider when deciding
where to sell your items. You must also consider hours of
operation, location and the type of items that will sell at a
particular store.

Since interest in antiques has grown over the past 20 years,
many malls are now open seven days a week. But hours still vary,
and it's not uncommon for a mall to be open only on weekends.
One mall may rent spaces more cheaply than another, but if the mall
is open every day, the extra cost might be worthwhile.

The location of the mall will also affect your cost. Dealer
Terri Mowrer of Columbia, Pennsylvania, pays $75 to rent a glass
case at the nearby Antique Center of York, which is open seven days
a week. But in Adamstown, which is also near her home, case rentals
for similar malls start at about $150. "Adamstown is a whole
different ballgame," says Mowrer. That's because Adamstown
has a national reputation as "Antiques Capital USA."
People come from all over the country, and even the world, to shop
in Adamstown, where about two dozen large malls and co-ops are
located within a two-mile stretch of highway.

An antique mall must also be easily accessible in order to do
well. Antique lovers frequently travel hundreds of miles to shop,
always hoping to discover that elusive treasure. If someone new in
town can't easily find your mall, you'll lose potential
sales.

Equally important is the type of merchandise other dealers sell
at the mall you choose. If you have mostly Victorian items, for
instance, you probably won't do as well at a mall which
specializes in late twentieth-century collectibles, such as Barbie
and Batman memorabilia.

Regardless, you also should find out how well the malls under
your consideration are doing. Before making a decision, watch
customers in the malls that you are considering to see how many are
buying, and ask other dealers who sell there how well they're
doing, says AntiqueWeek eastern editor Connie Swaim, who for
the past eight years has sold pottery and other decorative items at
an antique mall near her home in Carthage, Indiana.

Finding and Pricing Merchandise

Antiques and collectibles can be purchased for resale from a
variety of sources, including auctions, yard sales, estate sales,
Internet sites, private collections and even other antique
malls.

Although the variety of places selling antiques and collectibles
is fairly large, you must remember that you cannot simply call a
supplier when you run low on merchandise. Keeping items in stock
requires continuous legwork. And there are no guarantees. Some
sales might be better than advertised, while some might not be
nearly as good as they sounded. "I've sat through some
auction sales that were real duds just to get a few things,"
says Mowrer. But, to those who enjoy collecting, the "treasure
hunt" aspect of the business is one of its major draws.

It's best to specialize in buying and reselling items you
like and know something about. "I've been sticking
primarily to opalescent glass and Carnival glass, and two types of
ceramics known as flow blue and majolica--anything I might know a
little bit about," says Mowrer. This makes the entire process
easier because she knows where to find things, how to recognize
good pieces, and generally how to price them.

Even the most knowledgeable dealers run into a few snags now and
then. "You have to do a lot of research," says Swaim.
"I can spend hours just trying to figure out what to price one
thing."

Where to Learn What You Need to Know

In order to make it as an independent antiques dealer, you must
spend time and money building up your knowledge and reference
library. Every dealer should have one or more general price guides,
like Schroeder's Antiques Price Guide (Schroeder
Publishing, $12.95, 800-626-5420), Kovel's Antiques &
Collectibles Price List, 29th Edition (Crown, $14.95,
800-726-0600) or Warman's Antiques & Collectibles Price
Guide (Krause Publications, $16.95, 800-258-0929). Other, more
specialized price guides, like The Collector's Encyclopedia
of Depression Glass by Gene Florence or The Collector's
Guide to Antique Radios by Marty and Sue Bunis (both from
Collector Books, $19.95 and $18.95 respectively, 502-898-6211),
will nicely supplement the main guides, offering more detailed and
complete information on specific categories of merchandise.

Although price guides are useful, dealers should realize they
are not gospel. Prices vary, according to the condition of the
piece and the location in which you are selling. The price for a
piece of collectible glassware in California or Washington, where
quality glass is relatively scarce, might be double what the same
piece goes for in Pennsylvania or New Jersey, where glass is more
plentiful.

Finding out the value of a piece is but one step toward
successful sales. Collectors like to know a little about the origin
and history of their treasures, and will shop repeatedly where
dealers accurately label their merchandise with information about
the manufacturer, age and pattern name, if any.

You can get more detailed information on specific pieces through
reference books. These books can sometimes be even more valuable
than simple price guides because they frequently contain valuable
information, such as how to spot fakes and reproductions.

"I'm surprised at how much I've learned just by
looking through books," says Mowrer. "The Carnival glass
people really know their patterns." By knowing the pattern
names of the pieces she sells, she earns the respect of collectors.
Talking to other dealers and attending auctions can also be
educational. "Even if I spend a whole night at a sale without
buying, but I learn something, it's worth it."

Of course, the process of pricing your merchandise begins before
you actually buy items for resale. Mowrer brings her price guides
to auctions; before bidding, she'll look up the pieces'
values and decide how much she can spend and still expect to make a
decent profit. "I decide my price and then I stick to
it," she says. "But there are some people who go right up
to book price."

"There are different kinds of dealers," says Annetta
Vitez, who manages Merchant's Square Mall Antique &
Specialty Shops in Allentown, Pennsylvania, where she is also a
seller. "Some feel they have to double or even triple their
money. Others are satisfied with a $5 profit margin. But the second
kind don't last too long."

Mowrer strives to at least double her money on everything she
sells, a policy which has earned her, at times, between $100 and
$200 a week.

Swaim also tries to double her money, but adds that selling
antiques is merely a hobby for her. Experts agree that professional
dealers should try to triple their money to compensate themselves
for their time and expenses.

Legal Questions

Antique-mall staff will collect state sales tax from customers,
but will turn that money over to you, the independent dealer, for
payment to the state. You will need a sales tax number, available
at no charge from the state in which you do business.

Swaim also suggests looking into business insurance, since
sellers may not always be covered under the mall's policy.
Sellers can be held liable for selling reproductions, and are also
potentially liable if they sell something unsafe, such as an old
toaster which starts a fire in the buyer's home.

Pitfalls to Avoid

As interest in antiques and collectibles grows, reproductions
proliferate. At first glance, many look like the real thing. But
dealers who repeatedly make mistakes will quickly earn a bad name
with knowledgeable collectors.

In addition, knowing what will sell can sometimes be guesswork.
Mowrer put some Blue Ridge dinnerware--which is neither as old nor
as well-known as other ceramics in which she specializes--on the
bottom shelf of her showcase, just to make it look full.
Surprisingly, the dinnerware has been selling faster than anything
else. "What you think is going to go usually
doesn't," she laughs.

Novice dealers should be wary of jumping on immediate trends.
Cabbage Patch dolls, which were all the rage 10 years ago, now sit
in antique shops priced at less than $30. If you want to make money
on fads such as these, you have to move quickly before prices
plummet.

Whatever you display in your booth or case, try to move your
wares around about once a week. "Keep it looking
different," Mowrer says, "even if it's the same
stuff."

Any business has the best chance of success when the
entrepreneur in charge enjoys it. Nowhere is that more true than in
the antiques and collectibles field.

"You've got to love it. That's basically the whole
thing in a nutshell," says Mowrer, who has a full-time job as
a janitor and devotes evenings and weekends to her antiques
business. If the work were drudgery, she would not be willing to
spend the time necessary for success. "The hunt is the thrill.
I'll be happy if I can just pay for my addiction to
antiques," she laughs.

"A lot of people go into this business because they think
it's easy," says Swaim. Many beginning dealers who
inherited quality items from a family member, or who decide to sell
things from their personal collections, are surprised to find the
business can be quite challenging down the road. "They
don't realize that once the good stuff is gone, they have to go
out and replace it."

Selling antiques and collectibles may not make you rich. But you
can reap financial rewards if you go into the business armed with
knowledge, persistence and a true love of the business and the
merchandise you sell.

AntiqueWeek is a national trade publication offering
readers weekly features on antiques and collectibles, plus regular
columns offering advice on everything from running an antiques
business to refinishing wood. A one-year subscription is $25.45 and
includes the annual Antique Shop Guide. For more
information, call (800) 876-5133, write to P.O. Box 90,
Knightstown, IN 46148, or contact them online (http://www.antiqueweek.com).

Literally hundreds of books and price guides exist. The five
main publishers are:

The Institute for the Study of Antiques and Collectibles, run by
collectibles expert Harry Rinker, hosts seminars and classes on
antiques and collectibles. Topics include authenticating pieces,
buying and selling, and expanding your horizons as a dealer. For
more information, write the institute at 5093 Vera Cruz Rd.,
Emmaus, PA 18049, or call (610) 965-1122.

"Antique & Collectors Reproduction News" is a
monthly newsletter covering reproductions, copies and look-alikes,
with both text and detailed photos showing old and new pieces side
by side. Annual subscriptions are $32, and back issues are
available. For more information, call (800) 227-5531, or write to
P.O. Box 12130, Des Moines, IA 50312.